Could this hole cause a problem?

Had a weird noise in the trans on my '67 Barracuda that ended up being a destroyed rear sprag. Bought a used 904 off Craigslist for parts. After seeing that the sprag was riveted in, I figued I'd have to make it a "bolt in" sprag. I picked 4 of the seven holes on the outer sprag case and drilled and tapped them. After getting it in the car, all I pretty much have is first and reverse. I can kinda get second(though I never really feel a "shift") and have no 3rd gear.

Looking at the parts trans case today I see one of the holes I didn't use was in the cavity for "governor pressure". I get the feeling this may be my problem.

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